A round of golf at the Capilano Golf Club costs $75, and consumes four hours of the golfer's time. If the golfer has $100 of non- labour income per day and a wage rate equal to $50 per hour, the full price of a round of golf is:

Question

Quizplus · Accepted Answer

The full price includes the direct cost of $75 plus the opportunity cost of the time spent golfing, which is 4 hours at $50 per hour ($200). So, $75 + $200 = $275.

A Round of Golf at the Capilano Golf Club Costs